The GST Council will instruct its Central and State level field officers to be lenient with traders during the first year of GST implementation post July 1 in cases of procedural lapses. Though, the Council believes that small and medium businesses are prepared for GST roll-out, the government authorities will be more tolerant given the enormity of the reform which the country would undergo.
This decision has been taken keeping in mind industry traders’ apprehensions with respect to the anti-profiteering provision in GST law. This provision would act as a preventive measure in the event that the traders do not pass on the benefits of reduced tax liability post GST implementation to the consumers.
The Confederation of All India Traders spoke with the Prime Minister on 8th June stating that a period of 9 months from July 1 be declared as a transition period for traders so that they are not prosecuted in the case of any procedural mishaps or lapses.